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Can somebody help with this? Mr. Swartz has recently had to close his business and as a result he find himself in financial difficulty and
Can somebody help with this?
Mr. Swartz has recently had to close his business and as a result he find himself in financial difficulty and is forced to sell some of his assets During 2017 Mr. Swarts sells the following items: Selling Sale Price Costs Total Cost $39,983 $800 $33,256 UCC A sculpture which he acquired may years ago sold at auction A vintage canoe was sold to a neighbor $2,649 $447 A first Edition book The Adventures of Tom Sawyer $8,079 $3,993 Gramma's Antique Rocking Chair $1,624 $3,998 Warehouse Building - Class 1 (only asset in the class) at time of purchase - 40% was allocated to the land and 60% of the cost was allocated to the building. The property is in a desirable location for redeveoplement and the building is in a state of disrepair and now, at the time of sale, is only valued at $50,000 $256,381 $131,389 $73,578 Share in Trench Industries a public corportion $44,471 $445 $21,180 Vacant Land - Sold under an agreement for sale of which $10,000 was received at the time of sale and the balance will be paid in 4 equal installments over the next 4 years. $76,926 $1,923 $36,846 REQUIRED: 1. Calculate the mimumum tax consequenced for each of the above transactions Show all calculations 2. Determine the amount that would be reported under Section 3(b): Taxable Capital Gains over the Allowable Capital Losses. Mr. Swartz has recently had to close his business and as a result he find himself in financial difficulty and is forced to sell some of his assets During 2017 Mr. Swarts sells the following items: Selling Sale Price Costs Total Cost $39,983 $800 $33,256 UCC A sculpture which he acquired may years ago sold at auction A vintage canoe was sold to a neighbor $2,649 $447 A first Edition book The Adventures of Tom Sawyer $8,079 $3,993 Gramma's Antique Rocking Chair $1,624 $3,998 Warehouse Building - Class 1 (only asset in the class) at time of purchase - 40% was allocated to the land and 60% of the cost was allocated to the building. The property is in a desirable location for redeveoplement and the building is in a state of disrepair and now, at the time of sale, is only valued at $50,000 $256,381 $131,389 $73,578 Share in Trench Industries a public corportion $44,471 $445 $21,180 Vacant Land - Sold under an agreement for sale of which $10,000 was received at the time of sale and the balance will be paid in 4 equal installments over the next 4 years. $76,926 $1,923 $36,846 REQUIRED: 1. Calculate the mimumum tax consequenced for each of the above transactions Show all calculations 2. Determine the amount that would be reported under Section 3(b): Taxable Capital Gains over the Allowable Capital LossesStep by Step Solution
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